What the statute requires
- Governing statute
- Nonprofit Public Benefit Corporation Law, Cal. Corp. Code sections 5110 to 6910
- Minimum directors
- 1. Section 5151(a) says the bylaws set the number of directors, and that the number or minimum number "may be one or more." So one director satisfies the statute. Section 5227 then caps how many of those seats can be filled by people the corporation pays.
- Term length
- Directors are elected for terms of no longer than four years, as fixed in the articles or bylaws. A corporation with no members may set terms of up to six years. If the articles and bylaws say nothing, the term is one year (section 5220(a)).
- Term limits
- Not specified by statute.
- Quorum
- A majority of the number of directors authorized in the articles or bylaws. Those documents may set a lower quorum, but never below one-fifth of the authorized number or below two directors, whichever is larger. If only one director is authorized, one director is a quorum (section 5211(a)(7)).
- Annual meeting
- A corporation with members must hold a regular meeting of members in each year in which directors are elected at that meeting (section 5510(b)). If the corporation has no members, the law sets no annual meeting requirement, and it does not set a minimum number of board meetings either way.
- Conflict of interest
- Section 5233 covers self-dealing, meaning any transaction where a director has a material financial interest. The transaction is protected if, before it closed, the board approved it in good faith by a majority of the directors then in office without counting the interested director, knew the material facts, found it fair and reasonable to the corporation, and determined after reasonable investigation that no more advantageous arrangement was available. The Attorney General can sue to unwind a self-dealing transaction.
- Removing a director
- Directors may be removed without cause: by a majority of all members if the corporation has fewer than 50 members, by member approval if it has 50 or more, or by a majority of the directors then in office if it has no members (section 5222(a)). Cumulative voting, class voting, and directors seated by a designator each carry their own limits.
- Recurring state filing
- Statement of Information (Form SI-100) filed with the Secretary of State within 90 days of incorporating and every two years after that (section 6210). Separately, charities registered with the Attorney General's Registry of Charities and Fundraisers file an annual renewal report (Gov. Code section 12586).
What's particular to California
California does not have one nonprofit corporation law, it has three. Charities and most 501(c)(3) organizations are public benefit corporations under sections 5110 to 6910. Trade associations, social clubs, and homeowner groups are usually mutual benefit corporations under sections 7110 to 8910, and churches are religious corporations under sections 9110 to 9690. Everything on this page is the public benefit rulebook, and the other two parts differ on quorum, self-dealing, and Attorney General oversight.
Section 5227 is the California rule that catches people off guard: no more than 49 percent of the board may be interested persons. An interested person is anyone the corporation has paid in the last 12 months for services, other than reasonable pay for serving as a director, plus that person's spouse, siblings, parents, children, and in-laws. A paid executive director who also holds a board seat counts, which is why a two-person board with a paid staff member on it fails the test.
Self-dealing here is enforced by the Attorney General, not only by members or fellow directors. California charities register with the Registry of Charities and Fundraisers, and the Attorney General can bring an action under section 5233 to void a transaction, recover the money, or remove the director involved.
This is a summary, not legal advice.
We cite the statute so you can read it yourself, and we last checked these on September 2, 2026. Statutes change, courts interpret them, and your own bylaws may impose stricter rules than the state does. Before you rely on any of this for a decision that matters, have a lawyer licensed in California review it.
Knowing the rule is the easy part.
Staying compliant means knowing whose term ends in March, whether you'll still have quorum after it does, and who hasn't signed this year's conflict of interest form. Board Manager tracks all three and tells you before they become a problem.
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- Nonprofit Public Benefit Corporation Law, Cal. Corp. Code sections 5110 to 6910 ↗
- Cal. Corp. Code section 5151, number of directors ↗
- Cal. Corp. Code section 5211, board meetings and quorum ↗
- Cal. Corp. Code section 5220, terms of directors ↗
- Cal. Corp. Code section 5233, self-dealing transactions ↗
- California Attorney General, Registry of Charities and Fundraisers ↗